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10 African currencies with the highest exchange rates against the dollar in Q1 2022
- Business Insider Africa presents a list of African currencies with the highest exchange rates against the dollar during the first quarter of 2022.
- To arrive at this list, we compared the currencies used in all 54 countries in Africa by converting the sum of 1000 in each of these currencies to the dollar.
- Exchange rate has to do with the value of a currency when converted to another currency.
Business Insider Africa periodically publishes a list of the 10 African currencies with the highest exchange rates against the dollar. In this latest installment, we are focusing on Africa’s top currencies as of Q1 2022.
To do this, we have painstakingly compared the currencies used in all 54 countries in Africa by converting the sum of 1000 in each of these currencies to the dollar.
What you should know about exchange rates
Before we go ahead and unveil the top 10 African currencies as of Q1 2022, let’s first have a little discussion about currency valuation and exchange rates, shall we?
The first thing to bear in mind is that exchange rates are hardly constant. This is due to the volatile nature of the foreign exchange market, characterised by unexpected fluctuations in currency prices as a result of different economic factors.
As you may well know, exchange rate basically has to do with the value of a currency when converted to another currency. The US dollar is currently the most used currency during global trades. This is why we used it as our benchmark currency. That said, the top 10 currencies in Africa basically have the highest value when converted to the dollar.
Finally, the quote below by Investopedia explains why exchange rate is an important topic everyone should be interested in.
“Exchange rates have a substantial influence on companies’ operations and profitability. Exchange rate volatility affects not just multinationals and large corporations, but it also affects small and medium-sized enterprises, including those who only operate in their home country. While understanding and managing exchange rate risk is a subject of obvious importance to business owners, investors should also be familiar with it because of the huge impact it can have on their holdings.”
Fair warning: Exchange rates are volatile. So, the figures may have changed as at the time you are reading this article.
10 African currencies with the highest exchange rates against the dollar
- Tunisian dinar: TND1000 converted to $334.39 as at the time of publishing this article.
- Libyan dinar: LYD1000 converted to $214.51 as at the time of publishing this article.
- Ghanaian cedi: GHS1000 converted to $133.81 as at the time of publishing this article.
- Moroccan dirham: DH1000 converted to $103.21 as at the time of publishing this article.
- Botswanan pula: BWP1000 converted to $87.33 as at the time of publishing this article.
- Seychellois rupee: SCR1000 converted to $69.65 as at the time of publishing this article.
- South African rand: ZAR1000 converted to $68.81 as at the time of publishing this article.
- Lesotho loti: L1000 converted to $68.81 as at the time of publishing this article.
- Namibian dollar: NAD1000 converted to $67.16 as at the time of publishing this article.
- Eritrean nakfa: ERN1000 converted to $66.66 as at the time of publishing this article.
